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A method that can accurately use machine learning algorithms for Bitcoin price prediction

Bitcoin is probably the most talked about cryptocurrency that is somehow on top of everyones lists when it comes to thinking about investing. However, when it comes to actual investing, most people would like to have some magic ball to see the future instead of exposing themselves to the enormous risk that naturally comes with it. Have you wondered what machine learning could do in this regard? Lets find out. Bitcoin price prediction with machine learning can be made by leveraging the Google Trends search volume index and Baidu media search volume, essential measures of investor attention and media hype that reflect the sentiment in the highly speculative cryptocurrency market.

Also, by integrating gold spot price with regular features such as property, network, trading, and market in the machine learning algorithm, it is possible to develop higher-dimensional features and avoid the problem of simplifying Bitcoin price prediction.

As Bitcoin price fluctuates significantly, machine learning models are applicable and valuable. Various popular machine learning algorithms, including recurrent neural networks, long short-term memory, support vector machines, and random forest models, have therefore been implemented in previous studies.

After the global financial meltdown in 2008, the BTC blockchain was conceived as a new type of currency with a mechanism that can sidestep existing banking systems. Since then, it and other cryptocurrencies have become a prevalent means of exchanging value. Although the platform initially mainly attracted traders who preferred to wager on volatile assets, it has become a new type of investment serving as a keeper of value and protecting against inflation.

Several years ago, retail investors and traders gambled on an increasing price without basing them on reason or facts, which caused previous price oscillations. However, that has changed. As the crypto markets mature, regulatory authorities develop rules specifically for investors. That being said, even though Bitcoin price still fluctuates, many are now considering it the future of the mainstream economy.

The cryptocurrency market is highly volatile, and your investments are at risk. BTC first became available in 2009 and was worthless at the start. Its price increased to US$0.09 in 2010 and US$1.00 by February 2011, after which it surged to US$29.60. The crypto market took a nosedive after that, with BTCs price falling to just US$2.05 by mid-November 2011.

2016 saw a gradual increase, with prices reaching over US$900 before the years end. They skyrocketed by the end of December 2017, reaching US$19,345.49. The coin once again gained friction during the start of the COVID-19 pandemic, reaching US$29,000 by the end of 2020. At present, Bitcoin is hovering around US$26k.

As the digital asset market reels from the SEC crackdown on Binance and Coinbase, Bitcoin and other cryptocurrencies are hovering at crucial levels. Bitcoin has lost 1.8% of its value in the last week, and experts forecast that this trend will continue.

Bitcoin has a value of US$26,568.11 with a market cap of US$515B, down by 0.05% overnight. The Bitcoin trading volume has also taken a hit, falling by 20.22% in that same time and now sitting at US$11,783,962,824. With Bitcoin slowly losing its value, analysts foresee a drop below US$26,000.

In conclusion, as you can tell, the future of the cryptocurrency king is still uncertain, and several possible scenarios could play out. Different approaches are available for Bitcoin price prediction but can never be 100% correct. Whatever happens, it will be interesting to see how the crypto market evolves in the next few years.

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Bitcoin Price Prediction: A Machine Learning Approach - Analytics Insight